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BEFORE THE

DEPARTMENT OF TRANSPORTATION

WASHINGTON, D.C.

Application of

K5-AVIATION GMBH

for an exemption pursuant to 49 U.S.C. § 40109

and a foreign air carrier permit pursuant to

49 U.S.C. § 41301 (EU-U.S. open-skies)

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Docket DOT-OST-2012-______

APPLICATION OF K5-AVIATION GMBH

FOR AN EXEMPTION AND A FOREIGN AIR CARRIER PERMIT

Communications with respect to this document should be addressed to:

Dr. Ineke Goertz

CEO

K5-AVIATION GMBH

Katharinazell 5

D-85408 Gammelsdorf

Germany

Telephone: +49 8754 96999 34

Facsimile: +49 8754 96999 32

E-mail: I.Goertz@k5-group.com

Sheryl R. Israel

HOGAN LOVELLS US LLP

Columbia Square

555 Thirteenth Street, NW

Washington, DC 20004

Telephone: +1 202 637 8898

Facsimile: +1 866 728 1992

E-mail: sheryl.israel@hoganlovells.com

Counsel for

K5-AVIATION GMBH

October 1, 2012

NOTICE: Any person may support or oppose this application by filing an answer

and serving a copy of that answer on counsel for K5-Aviation GmbH and

all persons served with this application. Answers to the exemption

request are due October 16, 2012, and answers to the permit request

are due October 22, 2012.
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BEFORE THE

DEPARTMENT OF TRANSPORTATION

WASHINGTON, D.C.

Application of

K5-AVIATION GMBH

for an exemption pursuant to 49 U.S.C. § 40109

and a foreign air carrier permit pursuant to

49 U.S.C. § 41301 (EU-U.S. open-skies)

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)

)

)

)

)

)

Docket DOT-OST-2012-______

October 1, 2012

APPLICATION OF K5-AVIATION GMBH

FOR AN EXEMPTION AND A FOREIGN AIR CARRIER PERMIT

K5-Aviation GmbH (“K5-Aviation” or the “Applicant”) hereby applies under

49 U.S.C. §§ 41301, 41302 and 40109, Subparts B and C of the Department’s Rules of

Practice (14 C.F.R. §§ 302.201 and 302.301, et seq.), the U.S.-EU Reciprocal

Recognition Procedures,1and the Streamlined Licensing Procedures2for an exemption

and a foreign air carrier permit authorizing K5-Aviation to engage in charter foreign air

transportation of persons, property, and mail to and from points in the United States to

the full extent permitted by its homeland operating authority and the EU-U.S. open-skies

agreement, as well as other charters pursuant to the prior approval requirements set

forth in the Department’s regulations (14 C.F.R. Part 212), as more fully described

herein.

1 See DOT Notice, “Application Procedures for Foreign Air Carriers of the European Union,” dated

February 19, 2009.

2 See DOT Notice in Docket DOT-OST-2005-22228, dated August 23, 2005. K5-Aviation requests

that the Department grant this application under the show-cause procedures described in that

Notice by issuing a single Order (a) granting the exemption authority described in this application

for a period of two years, or until the effective date of the Applicant’s foreign air carrier permit,

whichever occurs first, and (b) tentatively awarding the amended foreign air carrier permit. As

soon as possible thereafter, K5-Aviation requests that the Department issue a Final Order issuing

K5-Aviation its EU-U.S. open-skies foreign air carrier permit for a period of indefinite duration.
Application of K5-Aviation GmbH

Page 2

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K5-Aviation is a recently established EU air operator that was awarded its initial

Operating License and Air Operator Certificate last year, commencing operations with a

single Airbus A319 Corporate Jet (ACJ319) configured with 19 passenger seats and

subsequently adding service with a Global Express configured with 12 passenger seats.

K5-Aviation offers worldwide charter service using these two aircraft and may expand its

charter offerings in the future to include additional aircraft. In order to meet the global

travel requirements of its charter customers, K5-Aviation is eager to offer charter flights

to and from the United States to the full extent permitted to air carriers from EU Member

States under the EU-U.S. open-skies agreement.3

In support of this application, K5-Aviation submits the following information

required under the U.S.-EU Reciprocal Recognition Procedures:

1. The name and address of the applicant.

K5-Aviation GmbH

Katharinazell 5

D-85408 Gammelsdorf

Germany

2. Statement of the authority sought.

K5-Aviation requests issuance of an exemption and a foreign air carrier

permit authorizing the Applicant to engage in the following:

 foreign charter air transportation of persons, property, and mail

from any point or points behind any Member State of the

European Union, via any point or points in any EU Member State

3 K5-Aviation is presently authorized to conduct only a limited number of planeload charter flights to

and from the United States pursuant to a DOT Special Authorization approved on August 15, 2012.
Application of K5-Aviation GmbH

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and via intermediate points, to any point or points in the

United States and beyond;

 foreign charter air transportation of persons, property, and mail

between any point or points in the United States and any point or

points in any member of the European Common Aviation Area;

 foreign charter air transportation of cargo between any point or

points in the United States and any other point or points;

 other charters pursuant to the prior approval requirements set

forth in the Department’s regulations governing charters; and

 charter transportation authorized by any additional route rights

made available to European Union carriers in the future, to the

extent permitted by the Applicant’s homeland license on file with

the Department.

3. Evidence of the Applicant’s operating authority.

Attached as Exhibit KAY-1 are the Applicant’s Operating License (No.

D – 181 EG) issued by the Federal Republic of Germany’s Luftfahrt-Bundesamt

(“LBA”) on June 30, 2011 and an Air Operator Certificate (AOC) (No.

D - 181 AOC) issued to the Applicant by the LBA on October 18, 2011 (with

Operations Specifications, as amended through May 30, 2012), authorizing

K5-Aviation to carry passengers, mail and/or freight on a worldwide basis.

K5-Aviation will obtain appropriate amendments to the Operations Specifications

associated with its AOC and will otherwise continue to update and renew its

Operating License and AOC as necessary.
Application of K5-Aviation GmbH

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4. Name of the foreign air transport authority involved.

Luftfahrt-Bundesamt

Hermann-Blenk-Straße 26

D-38108 Braunschweig

Germany

5. Statement that the Applicant’s insurance coverage meets or exceeds the

liability limits of 14 C.F.R. Part 205.

K5-Aviation’s insurance coverage meets or exceeds the liability limits of

14 C.F.R. Part 205, as reflected in the Certificate of Insurance attached as

Exhibit KAY-2. The Certificate of Insurance will also be filed with the FAA.

6. Copies of signed OST Form 4523 (waiver of liability limits under the

Warsaw Convention).

Attached as Exhibit KAY-3 is a copy of signed OST Form 4523, which

has also been filed in Docket DOT-OST-1995-236.

ADDITIONAL INFORMATION.

Energy Information. In light of the on-demand nature of its proposed operations,

the services proposed by K5-Aviation will not involve a near-term net annual change in

aircraft fuel consumption exceeding 10 million gallons, meaning approval of this

application would not constitute a “major regulatory action” under the Energy Policy and

Conservation Act, as implemented by 14 C.F.R. Part 313. The Applicant does not

anticipate encountering any difficulty in obtaining adequate supplies of fuel for its

proposed ad hoc services from existing sources.

Family Support Plan and Passenger Manifest Information. Because the 19-seat

ACJ319 operated by K5-Aviation meets the Department’s definition of “large aircraft,”

the Applicant’s proposed charter services are subject to the requirements of

49 U.S.C. § 41313. In accordance with § 41313(b), K5-Aviation will submit a plan to
Application of K5-Aviation GmbH

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address the needs of families of passengers involved in aircraft accidents to Docket

DOT-OST-1998-3304 and to the National Transportation Safety Board. Similarly,

because its large aircraft authority will subject K5-Aviation to the requirements of

14 C.F.R. Part 243, the Applicant will file a brief statement in Docket

DOT-OST-1998-3305, as required by § 243.13, summarizing how it will collect the

required passenger manifest information and transmit the information to the Department

of State in the event of an aviation disaster.

WHEREFORE, K5-Aviation GmbH respectfully requests that the Department

promptly approve this application and issue exemption authority and a foreign air carrier

permit pursuant to the U.S.-EU Reciprocal Recognition Procedures and the Streamlined

Licensing Procedures, as described herein, and grant such further and additional relief

as the public interest may require.

Respectfully submitted,

Sheryl R. Israel

HOGAN LOVELLS US LLP

Columbia Square

555 Thirteenth Street, NW

Washington, DC 20004

Telephone: +1 202 637 8898

Facsimile: +1 866 728 1992

E-mail: sheryl.israel@hoganlovells.com

Counsel for

K5-AVIATION GMBH
Application of K5-Aviation GmbH

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Exhibit KAY-1

Operating License and Air Operator Certificate






Application of K5-Aviation GmbH

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Exhibit KAY-2

Certificate of Insurance


Application of K5-Aviation GmbH

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Exhibit KAY-3

OST Form 4523

Application of K5-Aviation GmbH

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Exhibit KAY-4

Verification

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CERTIFICATE OF SERVICE

I hereby certify that a copy of the foregoing Application of K5-Aviation GmbH for

an Exemption and a Foreign Air Carrier Permit has been served this 1st day of October,

2012, on the following addressees:

Kris Urs

Deputy Assistant Secretary for Transportation Affairs

Bureau of Economic and Business Affairs

Department of State

2201 C Street, NW

Washington, DC 20520

Nicholas Tsokris

Operations Supervisor

New York Flight Standards District Office, EA15

New York International Field Unit

Federal Aviation Administration

One Aviation Plaza, Room 504

Jamaica, NY 11434-4809

Jonathan Echmalian